Rupee avoids record low on RBI intervention but expected to weaken

The Indian rupee stayed nearly flat, hovering against the U.S. dollar. IST, barely changed from its previous close. This steadiness came despite the currency nearing a record low. Pressure on local equities, following the government’s budget announcement of increased tax rates on profits from equity investments and equity derivatives trades, contributed to the decline.

Overseas investors, who had pumped into Indian markets this month reacted by selling. This selling pressure was evident in the local stock markets, with both the BSE Sensex and Nifty 50 indices down.

Read more to find out how will Indian rupee trend.